Chevy Chase 12 Unit Multifamily Opportunity

Highlights

• Active Leasing Demand: Despite 3 current vacancies, 5 rental applications have been received in July 2025 -- demonstrating solid tenant demand.
• Additional Income Potential: The lower level includes tenant storage space that is currently included at no charge, offering future upside.
• Fresh Exterior Work: Owner has scheduled resealing and striping the driveway and parking lot.
• Long-term investment: A 5-year hold forecast projects a 13.50% IRR and 1.84x equity multiple, with clear upside tied to unit turnover and improved operations.
• Prime Location: Located in the heart of Lexington’s Ashland Park, just steps from Henry Clay High School and minutes to downtown, the University of Kentucky, and walkable Chevy Chase restaurants/shopping.
• Proven Rental Upside: Current average rents of $773 trail market averages of $842, offering an estimated 8.93% rent growth opportunity through standard turnover and light upgrades.
• Public Investment Tailwinds: Adjacent to the Henry Clay High School campus, currently undergoing a full rebuild with modern facilities and improved green space. The neighborhood is experiencing a transformation, with improved property conditions and an influx of higher-quality tenants.
• Rare Opportunity: In 2024, only ~4% of all Fayette County multifamily properties (with 4+ units) transacted. When a clean, stabilized deal like this hits the market, you have to move quickly to grow your portfolio.
• Strategic CapEx Completed: Ownership has cosmetically renovated 7 of 12 units, including updated countertops, new appliances, modern flooring, and refreshed bathroom vanities, enhancing overall rentability. The units and common areas are clean and show well.
• Strong Market Fundamentals: Lexington’s multifamily market remains resilient, with a ~6.4% vacancy rate and ~4% annual rent growth, offering a stable income environment.
• Unit Mix: The property includes 10 two-bedroom, one-bath units and 2 one-bedroom, one-bath units, providing an attractive layout for both individuals and small households.
• Walkability & Lifestyle: Steps from parks, grocers, local retail, and public transit, this location attracts long-term tenants, including educators, students, medical professionals, and retirees.

Location