Transwestern Marketing 234-Unit Community on Behalf of Legacy Owner
May 25, 2021
NEWARK, Del. –Transwestern Real Estate Services (TRS) announces its Mid-Atlantic Multifamily Group is brokering the sale of Iron Hill Apartments, a 234-unit, value-add multifamily investment opportunity at 2 Burleigh Court in Newark, Delaware. Transwestern’s Dean Sigmon, Justin Shay, Michael D’Amelio and Robin Williams are marketing the property on behalf of the long-time owner.
“Iron Hill Apartments provides a unique opportunity for investors to acquire a rare legacy-owned multifamily property with current rents more than 20% below market,” said Sigmon. “Renovated communities in the Newark area are achieving rent premiums from $200 to $300, offering a new owner significant upside potential.”
Effective rents in the Newark submarket increased 2.9% in the 12 months ending March 2021 and have grown 2.9% on average annually since 1996, according to Axiometrics.
Currently 98.3% occupied, Iron Hill Apartments comprises one-, two- and three-bedroom units with an average size of 967 square feet. All units offer oversized balconies or patios, and all multi-bedroom apartments include two full baths – a feature not typically found at competitive communities. Built in 1978, the property was well constructed with all concrete floors, and has been well-maintained through capital investments made to building systems, roofs and windows.
“With more than 90% of the units still offering original finishes, new investors can focus their capital on revenue-generating interior and exterior renovations that provide strong returns,” said Shay. “Amenity enhancements will further improve the curb appeal and elevate the overall living experience for tenants.”
Iron Hill is situated within New Castle County, along the I-95 corridor, approximately three miles from the University of Delaware and downtown Newark. The property’s central location provides convenient access to employment centers and lifestyle amenities within the region and in Philadelphia and Baltimore, less than an hour by car. AMTRAK service along the northeast regional line connects to Washington, D.C. in 90 minutes and to New York in two hours.
With a favorable tax environment, New Castle County is an attractive economic environment for businesses and residents. Amazon recently announced its plans to open a 1.35 million-square-foot distribution center six miles southeast of Iron Hill, bringing more than 4,500 jobs. Other major employers include JPMorgan Chase, AstraZeneca, University of Delaware, and Christiana Care Health System.
Transwestern’s Mid-Atlantic Multifamily Group provides a full range of investment sales services throughout Maryland, Washington, D.C., Northern Virginia, Richmond, Baltimore, and Delaware. The group’s recent client roster includes Sentinel Real Estate, Federal Capital Partners, Foulger Pratt with DLJ, Hampshire Properties, Aimco, Avalon Bay, Equity Residential, The Bozzuto Group, Fannie Mae, AIG Investment, Morgan Properties, Goldman Sachs, JP Morgan and Angelo Gordon.
About Transwestern Real Estate Services
Transwestern Real Estate Services (TRS) adds value for investors, owners and occupiers of all commercial property types through a comprehensive perspective and by providing solutions grounded in sound market intelligence. Part of the Transwestern companies, the firm applies a consultative approach to Agency Leasing, Asset Services, Tenant Advisory + Workplace Solutions, Capital Markets, and Research & Investment Analytics.
The privately held Transwestern companies have been delivering a higher level of personalized service and innovative real estate solutions since 1978. An integrated approach formed from fresh ideas drives value for clients across commercial real estate services, development, investment management and opportunistic programs for high-net-worth investors. The firm operates through 34 U.S. offices and global alliances with BNP Paribas Real Estate and Devencore. Learn more at transwestern.com and @Transwestern.