MULTIFAMILY FOR SALE EAST FLAT ROCK, NC

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1 Parkside Commons is a class C multifamily property located in East Flat Rock, NC. It is one of the Town s affordable historical apartment communities designed for seniors 55 and older still seeking an active, yet affordable lifestyle. Parkside Commons is just 30 miles south of Asheville and is part of the Asheville Statistical Metropolitan Area. Flat Rock continues to be in high demand among many seniors to spend retirement and take advantage of the mild summers and winters. Flat rock is known for offering historic small town charm just minutes from modern day. This historical and former school building was constructed in 1923 and renovated in It sits on nearly two acres and has two buildings. One building has 20 units the other has 5 units. Together they have 18 one-bedroom and 7 two-bedroom apartments. The property is 96% occupied and has experienced many years of stable occupancy. Upon renovation and conversion into apartments, Parkside Commons entered into the LIHTC (Low Income Housing Tax Credit) program Section 42 of the IRS code of The tax credits have been fully received. Rental restrictions are still in place and are monitored by NCHFA as to rent charges and tenant eligibility. Offering solid cash flow and historically low vacancy rates, Parkside Commons will be a great addition to a MF investors portfolio. Significant value add will be seen by those MF groups who have property management in place nearby.

2 Investment Summary List Price $625,000 Price per Unit 25,000 Number of Buildings 2 Number of Units 25 Year Built 1923 Renov Occupancy 96% Unit Type 1 and 2 BR Unit SF 778 1,191 Rental Rate p/month $554-$620 Landlord Pays Tenant Pays Compliance Period Period of Affordability Street Address Water, Sewer & Trash Electric 12/31/ /31/ E. Blue Ridge Road City/State East Flat Rock, NC Amenities Include: 24 Hour Maintenance Climate Controlled Mail Center Laundry Facilities Controlled Access Building with Elevator Dishwasher Electric Range Emergency Call Buttons High Efficiency Heat Pump Refrigerator Resident and Social Events Spacious and Equipped Community Room Unique Floor Plans no two are the same Water, Sewer and Sanitation Included On Site Management Office County Henderson

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4 LIHTC Explanation, Income Limits and Rent Restrictions Parkside Commons is a federal LIHTC project (Section 42 of the IRS code of 1986). Tax credits on the properties have been fully received and the project s period of affordability, meaning rent restrictions remain in place, runs through December The LIHTC restrictions (detailed in Land Use Restriction Agreements) are monitored by NCHFA (North Carolina Housing Finance Agency). There are 25 units. At least 50% of units must be made available to those tenants whose income does not exceed 50% AMI (area median income). The remaining units must be made available to those tenants whose income does not exceed 60% AMI. By county, HUD determines AMI and sets rental limits for LIHTC apartments and reassess this annually. HUD requires a tenant s RENT plus UTILITIES not to exceed 30% of their monthly income. To determine asking rent for a unit, a utility allowance is determined by the local housing authority. Currently, the asking rent, utility allowance and max allowed rent is as follows: Unit Descr. Unit Rent Utility Allowance Gross Unit Rent Max Allowed Rent AMI AMI %AMI Proforma: Potential Rental Income $161,220 Less Vacancy (5%) $8,061 Less Op Expense (60%) $96,732 NOI $56,427 $625,000 9%

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