Non-Performing Multifamily Note 76-78 Vine St

Cushman & Wakefield National Loan Sales & Connecticut Capital Markets, in conjunction with Ten-X, are pleased to present this opportunity to purchase a non-performing senior mortgage loan with an existing principal balance of $2.45 million (the loan) backed by a 68-unit multifamily portfolio producing consistent cash flow located in Hartford, Connecticut (the property). The property is highlighted by its historically high rate of occupancy and stable income levels, providing an opportunity to acquire the loan at an attractive basis and multiple resolution strategies. The loan originated in 2010 and conformed to the high underwriting standards of a regulated banking institution.

The apartment buildings encompassed in the note are in a prime location with immense access to crucial travel routes, a critical commercial corridor, and an ideal demographic portfolio that promotes long-term multifamily success. The apartments offer streamlined access to a cluster of interstates, including Interstates 84, 91, and 291, providing residents with premier regional connectivity. The row of apartments is just 1 mile from downtown Hartford and all it offers, including popular restaurants, the convention center, XL Arena and more. The demographics within a 5-mile radius around the property include a sizable population of 261,000 people who earn household salaries of $87,000 per year. This population base heavily skews toward rental housing, as 56% of the population rents their primary form of housing, creating robust multifamily demand.

Hartford, the state capital of Connecticut, is an incredibly historic community and one of the oldest cities in America. Hartford is in the Connecticut River Valley and offers many cultural gems hidden amid rolling hills and scenic, wooded neighborhoods. This offering is within the Upper Albany neighborhood on the city's northeast side. This sought-after neighborhood highlights architecture from the early 20th century, and apartments tend to stray towards mid-size multi-level buildings. This area offers something for everyone, including lush green spaces, performing arts venues, recreation, and top-notch dining.

Hartford’s Multifamily Market has seen a wave of new development as investors and developers flock to make a foothold in the stronghold market. Deliveries topped 800 units in 2023, a figure expected to nearly double by the end of 2024. Demand has been robust as renters make quick work of new and existing inventory in this tight market, leading to modest vacancy rates. Overall, the current vacancy rate of just 4.9% well outpaces the national average of 7.9%. Compared to the largest 60 markets in the United States by inventory size, Hartford ranks as the fifth-lowest vacancy market nationwide. The impact of record-low vacancies on the ability of landlords to set rent increases has been pronounced. So far in the fourth quarter, annual rent growth of 4.4% remains at the top of the national rankings, well above the national average of 1%.

Take advantage of the opportunity to acquire a non-performing note on an impressive array of sought-after multifamily properties in one of the nation's top multifamily markets.