MONTROSE 3 PORTFOLIO
1810 & 1812 W Alabama St - 201 Emerson St - 3618 Garrott St, Houston, TX, 77006
Net Rentable Sq Ft
All Property Showings Are By Appointment
Montrose 3 is a portfolio of 3 properties located in the Montrose area of Houston. The assets are available individually or as a portfolio with a potential lender workout.
201 Emerson St Apartments is a two story, 20 unit apartment building. It contains approximately 12,970 square feet of rentable area and was built in 1961. Residents enjoy a shared on-site laundry facility. There are 10 garage parking spaces as well as 10 surface parking spaces. All bills paid property with water and electric bill back being phased in. The broker feels that an interior and exterior upgrade could substantially increase rental income.
3618 Garrott is a two story, 16 unit apartment building. It contains approximately 9,375 square feet of rentable area and was built in 1960. There is upside potential by converting the existing office/storage unit into a studio apartment just by adding a kitchen. This would increase the unit total to 17. Residents enjoy a shared on-site laundry facility. There are 7 parking spaces as well as street parking. Electricity is separately metered and paid by the resident. The owner has implemented a water RUBS for additional income.
1810-1812 W Alabama is a two story, 9 unit apartment building. It contains approximately 9,200 square feet of rentable area, was built in 1960 and per HCAD was rehabbed in 2021.
There is a blanket loan on all 3 of the assets.
Keystone is willing to provide 2-3 yrs of fixed rate debt provided the existing loan amount (blanket for all 3 assets) is paid down 25%. Ask the Broker for details!
“Subject to additional underwriting, Seller would propose something like the following:
Loan Amount: The lesser of +/- $3,500,000 -$4,000,000, 72% LTV/LTPP at close. Additional dollars to go towards the renovation of the project would be available, subject to UW.
Term: 12-24 months + ext. options
18-Mo Pricing: Interest Only, 8.35% fixed, 100 bps origination, 100 bps exit
24-Mo Pricing: Interest Only, 8.75% fixed, 100 bps origination, 100 bps exit
Pre-Pay: N/A – No Prepay penalty
Recourse: Non-recourse subject to standard bad-boy carveouts
Deposit: $20k deposit to go towards direct underwriting costs.
Costs: Low closing cost structure. No rate caps, No UW fees, No servicing fees, junk fees, etc. Legal fees are typically between $10,000 – $12,500, depending on complexity Keep in mind, we’d need to underwrite a new buyer. The good news is that we can move extremely fast and we’re motivated to find a solution here.”
The tenant profile in the Midtown/Montrose submarket is predominately young professionals with income above the average Houston Metro income level. Residents enjoy close proximity to the University of St. Thomas, the Museum of Fine Arts, the Houston Museum of Natural Science, Rothko Chapel, the Houston Zoo, the Texas Medical Center and Downtown Houston.
Property Type: Apartment
Year Built: 1960
Rentable Sq. Ft. : 30,714