TERRE HAUTE, Ind., Dec. 4, 2021 /PRNewswire-PRWeb/ — Gideon Gratsiani, CRE-Pro LLC and Infinite Equity Capital LLC have finalized the acquisition of a multifamily apartment community called Trails Edge Apartments located in Terre Haute, Indiana and valued at $13 million. This community consists of 104-units with the most recent phase being completed in 2018. Most of the units are spacious two- and three-bedroom townhome-style apartment homes that average over 1100 square feet of living space. Gideon Gratsiani, the foreclosure and auction expert, sought this prime asset due to Terre Haute’s sizeable metropolitan statistical area that encompasses over 170,000 people within a 10-mile radius. Additionally, despite multifamily construction booming in most cities nationwide, construction activity in Terre Haute has been muted and mostly focused on purpose-built student housing complexes. These two factors have enabled Terre Haute to maintain high occupancy numbers and solid rent growth for multifamily housing, and Gideon Gratsiani and his partners believe this will continue into the future.
Some of the important factors to the growth and potential for the city are the four universities (Indiana State University being the biggest), GE Aviation (NYSE: GE), and two full-service hospitals (Union & Terre Haute Regional). Looking at the Trails Edge Apartment community itself, it is 3 miles away from the downtown area and only one mile away from Terre Haute Regional Hospital. Besides this, Gideon Gratsiani and CRE-Pro LLC plan to invest over $450,000 to improve the curb appeal, increase the overall quality of the living units, and add in additional community amenities to further enhance the tenant experience.
Looking ahead for what is happening in Terre Haute, a new $25 million convention center is in the process of being built in the downtown area. The new Terre Haute Convention Center is estimated to be 41,824 square feet and will feature a ballroom, theater, and dining area. In addition to the convention center being built, Spectacle Jack, an Indiana-based casino operator, is partnering with the Hard Rock to open a Hard Rock Hotel and Casino projected nicknamed ‘Rocksino’ in Terre Haute. This partnership consists of a $120 million development to build a 100,000 square foot facility that will include four bars, 1150 slot machines & table games plus an entertainment space. This partnership will create 700 new permanent jobs in the Terre Haute area for the years to come.
“We purchased Trails Edge Apartments at a substantial discount to market value and with what we believed were severely below-market rents,” remarked Nicholas Perrone, CRE-Pro LLC’s Vice President of Investments. “This was solely due to the previous longtime owners not raising their rental rates for many years. We have already started to achieve our pro forma rents on the first trade-outs – without spending a dime yet on capital expenditures. We are eagerly anticipating the beginning of construction in early 2022, so that we can add more amenities and take this community to the next level.”
CRE-Pro LLC and their partners would like to extend their appreciation to Logan Waller and Wade Sivess with the Waller Group for brokering the transaction, Daniel Kaweblum of FM Capital for mortgage brokerage services, Arbor Realty Trust for lending on the project, and Aaron Gilbert of Hayes-Gibson Property Management for their first-class property management services.
CRE-Pro LLC is a nationally-focused, diversified private equity real estate firm specializing in acquiring quality real estate at discounts to their market value. Combined, Gideon Gratsiani and his partners have over 40 years of experience in the real estate industry, spanning across all facets of commercial and residential real estate ownership and management. If you are looking to learn about commercial real estate in the United States, foreclosures, or auctions, go visit our website today.
For further information, contact Nicholas Perrone at [email protected]
Gideon Gratsiani Foreclosure and Auction Expert, Gideon Gratsiaini, +1 800-917-7102, [email protected]
SOURCE Gideon Gratsiaini