HUD HAP Contract | Ranger Apartments

Investment Highlights

• Government-Backed Income: With 67% of the units supported by Section 8 assistance, the property generates a durable, government-backed income stream insulated from traditional market volatility, providing investors with reliable cash flow from day one.
• Assumable HUD Loan: Please refer to the HUD Loan Documents Folder located under Property Information within the Due Diligence Vault for more information.
• Stabilized Asset at an Attractive Basis: Ranger Apartments delivers a compelling entry-point valuation supported by consistent occupancy, strong regional demand for affordable senior housing, and a durable government-backed income stream.
• Undersupplied Market with Durable Demand: Lusk’s affordable senior housing segment faces structural undersupply, positioning the property as a critical community resource and ensuring sustained long-term occupancy.
• Clean Investment Structure: This offering is well-suited for value-add and cash-flow-focused private investors, with meaningful long-term upside through continued stewardship of the Section 8 contract and targeted capital improvement.

 

Offering Summary

Lee & Associates, in partnership with RealINSIGHT Marketplace, is pleased to present 302 South Main, a 40-unit Project-Based Section 8 elderly housing community in Lusk, Wyoming. Built in 1918 and comprising approximately 40,000 SF of net rentable area, the property offers 27 HAP units and 13 market-rate units across a mix of one- and two-bedroom configurations. With a HUD HAP contract running through 2031, the asset generates a 2025 pro forma effective gross income of $292,789 and net operating income of $135,224 after reserves. The property earned a REAC score of 96 in its November 2023 inspection, reflecting strong physical and regulatory condition. Lusk's affordable senior housing segment faces structural undersupply, positioning Ranger Apartments as a critical community resource with sustained occupancy. The property also includes 11 ground-floor commercial units, five of which are currently occupied, providing additional income diversification potential. This is a straightforward, low-complexity acquisition for cash-flow-focused investors seeking government-backed income with annual OCAF rent escalations and long-term demand fundamentals in an undersupplied secondary market.