The Plaza

Slaton is a small city of about 5,700 people sitting roughly 15 miles southeast of Lubbock along U.S. Highway 84, placing it within the broader Lubbock metro area. The local economy runs on a mix of retail, education, and healthcare, with around 2,360 people employed across those sectors. Rail plays a meaningful role in the area. BNSF operates a classification yard in town, and the South Plains Lamesa Railroad runs a transloading railpark that handles freight for the surrounding region. Agriculture still has a presence as well, with cotton gins and food processing tied to the area's farming roots. The property is located on Division Avenue, the main thoroughfare through town, directly across from the newly built O'Reilly Auto Parts and Family Dollar. Slaton High School sits just behind the property, adding to its appeal for tenants looking for convenience and walkability.The Plaza is a 24 unit apartment community made up of 12 one story duplexes. They are all 2 Bed / 1 Bath units, with washer/dryer connections in each unit. They have strong current occupancy and there is room for rent increases. Property manager says they haven't raised rents in 5 years. Rents are about $135 below the 2 bedroom units in the apartment complex nearby. There is also an opportunity to reduce the utility costs and start billing back the water to the residents. The current water bill is about 2 times higher than the expense comps we have for the area. Good operational improvements will drive higher returns for the new owner.