Lawrence Portfolio 2 biens | Immeuble residentiel | À vendre | 4 133 088 € | Ann Arbor, MI

The Lawrence Portfolio consists of 18 well-located units in the heart of Ann Arbor, with an attractive mix of one-and two-bedroom apartments ranging from approximately 550 to 700 square feet. Given the portfolio’s location, the tenant profile is primarily student-oriented, with many residents enrolled in medical school, graduate programs, or other University of Michigan academic tracks. The 12 units at 415 Lawrence are evenly split between one-and two-bedroom floor plans and were constructed in 1965 as purpose-built apartments, while the 6-unit building at 715 Lawrence is a converted home originally built in 1901 and comprised exclusively of one-bedroom apartments. Both properties operate on a per-unit leasing model with lease terms that follow the academic year.
Over ownership’s 30-plus years of operation, the properties have demonstrated consistent performance and have historically maintained full occupancy. That trend continues today, with the portfolio currently 100% occupied and fully pre-leased for the 2026–2027 academic year. Ownership also requires full parental guarantees on all leases, providing an additional layer of security within the student housing model.
415 Lawrence is served by a gas-fired boiler system, while 715 Lawrence is served by gas forced air, with the landlord responsible for the heat expense at both buildings. Electric is separately metered and paid by the tenants, except for two units at 715 Lawrence that are on the house meter. Cooling is provided by individual electric sleeve units at 415 Lawrence and tenant-supplied window units at 715 Lawrence. Both properties have been well maintained, including a resurfaced roof at 415 Lawrence in 2025 and a roof replacement at 715 Lawrence approximately ten years ago.
While the Lawrence Portfolio has a strong operating history, meaningful upside remains through rental-rate growth, utility surcharge or billback implementation, parking income, garage utilization, and selective unit upgrades. Current rental rates appear to be approximately $100 to $300 below market, with additional upside through interior upgrades. Ownership also does not currently charge for parking, monetize the six garage spaces, or collect a utility surcharge, representing approximately $21,500 in potential annual revenue.
IPO’s underwriting utilizes in-place 2026–2027 academic year rents, actual operating expenses, and reassessed property taxes, resulting in a Year 1 NOI of $265,154. Year 2 assumes market-oriented rent growth, $75/unit parking charges, the full anticipated tax increase, and 2% expense growth, resulting in a Year 2 NOI of $261,556.
Recent sales comparables in this area suggest a value of approximately $280,000 per unit. IPO believes debt for an asset of this quality and location will likely fall in the 55% to 60% LTV range. At prevailing rates and assuming interest-only debt, the Lawrence Portfolio should be positioned to generate a 4% to 5% cash-on-cash return in one of the Midwest’s strongest student housing markets.
With demonstrated occupancy, secure lease structures, identifiable upside, and an exceptional campus-adjacent location, the Lawrence Portfolio offers investors the opportunity to capitalize on continued demand and long-term appreciation in one of Ann Arbor’s premier rental submarkets