The Pointe Apartments 1814 Bond Cir Immeuble residentiel 198 lots À vendre Taux de capitalisation 8,75 % Birmingham, AL 35215

The Gulf States office of Marcus & Millichap is pleased to present the exclusive opportunity to acquire The Pointe Apartments, 198 units located in Birmingham, Alabama. The Pointe Apartments arrives to market on the heels of a significant $4mm ($21,000/unit) repositioning campaign, which included strategic capital injections across notable asset preservation items such as roofs, windows, siding replacements, and select interior renovations across +/- 30 units which are ongoing and expected to be completed prior to closing. These updates are in addition to a $10mm capital infusion which took place in 2005 and will allow future ownership to capitalize on creating operational efficiencies which will further drive top line growth in the coming year.
Built in the early 1970’s, 179 out of the 198 units at The Pointe are classified under Section 42 Low Income Housing Tax Credits and are currently in the extended use period. Max Allowable Rent levels have risen steadily in recent years, up over 25% and now averaging $1,250/month. The next investor will realize an above market cap rate (projected 8.75% year one cap rate) and yield upon full stabilization of the asset as demand for affordable housing in the area is strong.
At a micro level, Birmingham’s real estate market is experiencing revitalization, with a focus on downtown and surrounding neighborhoods. The city's development of mixed-use properties and urban living spaces, located not far from The Pointe Apartments, has spurred an increase in both residential and commercial investment. Major employers in the region, such as Regions Financial, Blue Cross and Blue Shield of Alabama, and Southern Company, continue to invest in local expansion and innovation, adding to the workforce and stimulating demand for local services.
Birmingham’s economy has shown positive momentum in recent years, with unemployment rates dropping below the state average, and forecasts suggest the city will continue to see job growth in the coming years. According to recent data, the metro area’s employment has grown by approximately 1.5% annually in recent years, and sectors like healthcare and professional services are expected to add thousands of jobs in the coming decade.
Birmingham’s job market is expected to continue expanding, with forecasts indicating a robust increase in both white-collar and blue-collar jobs. The healthcare and technology sectors are poised for the largest gains, with UAB’s continued expansion and the increasing presence of tech companies driving demand for skilled workers. Projections indicate that Birmingham could see the addition of 10,000-15,000 new jobs by 2030.
Please reach out to the Gulf States office of Marcus and Millichap for more information regarding this opportunity as well as to receive a comprehensive valuation on any assets within your Gulf States portfolio which may be considered for upcoming disposition. We look forward to speaking soon!