Dane PCG has been retained as the exclusive agent in the sale of Somerset Homes.
Located only seventeen miles from Manhattan, Somerset Homes is near to New York City business and commerce. The commute via the PATH Train is 24 minutes to and from Newark and downtown Manhattan. Newark is the largest city in New Jersey and has become a hub of high profile entertainment and professional sport attractions given the accessibility and popularity of the Prudential Center. Newark’s local economy continues to grow as high profile developments have increased in recent years and outside companies and families have found Newark to be an advantageous location given its proximity to New York City.
Somerset Homes is a 100% Project Based Section 8 Property consisting of 38 units located on a single site in Newark, New Jersey. In June of 2002, the Mark-to-Market restructuring was completed at which time the project obtained a new mortgage and a 20-year HAP contract effective 2002. In 2011, the same HAP contract was renewed again for 10 additional years (with a 20 year term from 2011) extending the expiration to 2031. As a steady growth asset, Somerset Homes presents a great opportunity for diversification for one’s portfolio.
Somerset Homes represents an ideal acquisition for either affordable housing tax credit developers and/or cash buyers for the stable income the property produces. Value exists to a future owner to manage an upgrade of the property to allow operations to be more efficient and possibly take advantage of the tax credit program. Ultimately, this will allow for an increase in net operating income for the property. In addition, air rights may exist for future development of the property. We would advise one to review with their respective professional consultants on the likelihood of this opportunity.
Somerset Homes is a great opportunity for a party looking to expand their portfolio in New Jersey. The stable income and location are just two attributes that make Somerset Homes an asset to own.
Somerset Homes can be packaged with Livingston Homes, also marketed by Dane PCG.