Challenge
Located in the heavily sought-after East Ridge submarket in Chattanooga, the Vista Ridge Apartments sit on a 10-acre parcel. With consistently strong occupancy, recent installation of new roofs in 2015, and a sub-metering system for all utilities, Vista Ridge Apartments offers tremendous rental upside in a quickly growing market. The seller was motivated to flip the property after a year of ownership.
Strategy
Before the pandemic, the lender backed out of the deal and the team went to a lender who held an existing note with the seller. After the arrival of COVID-19, the team and lender created new terms while running stress tests as money was harder to acquire. The Matthews™ team was successful in locating a buyer who put up 12 months of principal and interest reserve payments, totaling 35-40 percent down on the property.
Results
Once the buyer was comfortable with moving forward, the property closed after negotiating multiple extensions for both parties. The Matthews™ team achieved a price that was $685,000 more than what the seller paid the year prior, resulting in a mutually beneficial outcome.
AGENT CONTACT
Connor Kerns
+1 (404) 445-1090
CONNOR.KERNS@MATTHEWS.COM
Austin Graham
+1 (404) 445-1091
AUSTIN.GRAHAM@MATTHEWS.COM
