REO Value-Add Student Housing | Monarch 815

Investment Highlights

• Growing East Tennessee State University: ETSU’s enrollment continues to grow steadily, with a 30% increase in first-year enrollment over the past four years, making current enrollment above 14,000 students.
• Unparalleled campus location: Prime location just minutes from ETSU, providing students with easy access to campus, local amenities, and a variety of dining and retail options.
• Well-maintained, high-quality 2014 product: Spacious units with 100% bedroom/bathroom parity and best-in-class amenities.
• 90% occupied with significant rental upside: Strong existing cash flow with value-add opportunities through additional lease-up and mark-to-market rental rate increases.
• Strong financial performance: Rental rates for all unit types are increasing, with opportunities to boost revenue in the first year of ownership and reduce costs.
• Opportunity to enhance amenity package: The competitive amenity package offers strong value, with potential upgrades that could drive rent increases and enhance the overall experience.
• REO asset at below replacement cost: Monarch 815 is being offered at less than 50% of replacement cost, giving new ownership a competitive advantage.

Offering Summary

Transwestern’s National Student Housing Team, in conjunction with RealINSIGHT Marketplace, is pleased to exclusively present the opportunity to acquire Monarch 815, a 176-unit, 576-bed student housing asset located in Johnson City, Tennessee. The Property is optimally located across from East State Tennessee University (ETSU), which has been experiencing record enrollment attributed to it’s reputation for providing high-quality, affordable education, with many of its programs ranked among the best in the nation.

At 90% occupancy, Monarch 815 has strong existing cash flow and also offers a very compelling value-add opportunity for investors through additional lease-up, mark-to-market rental increases and minor amenity upgrades.

Monarch 815 offers an outstanding opportunity to invest in a well maintained, quality asset, at an extremely attractive basis well below replacement cost in a market where students have limited on-campus housing options, with only two existing comparable student focused properties, and no new developments in the supply pipeline.