Marcus & Millichap (NYSE: MMI), a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced today the sale of Parkway Manor, a 35-unit apartment property located in Kingston, Pa. The asset sold for $3.3 million, according to Sean Beuche, regional manager of the firm’s Philadelphia office.
Craig Dunkle, Jeremy P. Ryan and Mher Vartanian, investment specialists in Marcus & Millichap’s Philadelphia office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. The listing team also secured the buyer, another limited liability company.
“Within a few weeks of marketing, we procured multiple offers from several groups of buyers spanning across six different states. Ultimately, we were able to facilitate a successful closing with a group based out of New York that was looking to enter the rapidly growing Northeastern Pennsylvania market,” said Vartanian. “The various value-add components of the deal, along with the submarket, caught the attention of numerous multifamily investors seeking inventory in a market that’s lacking supply today.”
Built in 1972 and situated on .55 acres, Parkway Manor is located at 100 Parkway Blvd. in Kingston, Pa. The multifamily property is comprised of 16 studio units; 4 one-bedroom, one-bathroom units; and 15 two-bedroom, one-bathroom units. Over 90 percent of its units are fully renovated with upgraded cabinets, stainless steel appliances, vinyl flooring, upgraded lighting and modernized bathrooms. Parkway Manor also features its own courtyard that is in significant proximity to Nesbitt Park, King’s College and Wilkes University.
“With cap rates being as compressed as they are today, we’re finding that more investors are willing to expand into these secondary markets due to the higher yield and lower barriers of entry in comparison to primary markets,” Ryan noted. “This allowed us to generate multiple offers and create a competitive bidding environment, which resulted in the property trading at a record-breaking price per unit within Kingston’s submarket,”