Purnell Arts Building

• Opportunity to Acquire a Fully Occupied, Value-Add Renovated Asset in Downtown Baltimore
• - Features (3) 2 Br-1 Ba, (1) 2 Br-2.5 Ba, (1) 2 Br-2 Ba, (1) 4Br-3 Ba, and (1) commercial space.
• - Commercial space is leased to Sweet Kam which is a popular local cafe and eatery.
• - Typical unit features consist of stainless steel appliances, engineered stone countertops, laminate cabinets, carpet/hardwood flooring, and in-unit washers/dryers.
• - Current ownership completed a gut renovation of the building in 2014 which included apartment renovations, updating plumbing, electric and mechanical systems, installation of new windows, and replacement of the roof.
• Ability to Increase Rents Via Light Refreshments
• - With minimal deferred maintenance a new owner can create value through light updates including updated cabinetry, granite countertops, new appliances, and bathroom refreshes.
• - Properties of similar vintage that have undergone renovations of a comparable scope are achieving rents at least $382 higher on average compared to the subject property.
• - Implementation of a water reimbursement program for all tenants.
• - Discontinuation of internet access for all tenants paid by landlord, annual savings of at least $3,500.
• Superior Location in Downtown Baltimore; Less Than a 5-Minute Walk Away from Mercy Medical Center
• - Ranked a Walker's Paradise by WalkScore, just steps away from retail, dining, and cultural attractions
• - Close proximity to Inner Harbor
• - Major area employers nearby: Mercy Medical Center, Agora Financial, University Maryland Medical Center (UMMC) Midtown Campus
• - Major area colleges nearby: Peabody Institute of the Johns Hopkins University, University of Maryland, Baltimore, University of Baltimore (UB)

Property Description

407 N. Charles St. | Baltimore, MD 21201Harbor Stone Advisors is pleased to present The Purnell Arts Building, a stabilized asset with light value-add potential in Downtown Baltimore. The property was fully gut-renovated in 2014 and is just steps away from the historic Mt Vernon neighborhood and in close proximity to Mercy Medical Center, one of Baltimore's top employers.The Purnell Arts Building features (3) 2 Br-1 Ba, (1) 2 Br-2.5 Ba, (1) 2 Br-2 Ba, (1) 4Br-3 Ba, and (1) commercial space. The commercial space is leased to Sweet Kam, a popular local cafe and eatery. There are two garage parking spaces located at the rear of the building as well as a rooftop walkout for Unit 6.The opportunity exists for a new owner to complete light refreshments to the apartment units, with a suggested scope of updated cabinetry, granite countertops, new appliances, and updated bathrooms. Typical unit features consist of stainless steel appliances, engineered stone countertops, laminate cabinets, carpet/hardwood flooring, and in-unit washers/dryers. In addition to unit upgrades, current ownership completed numerous capital improvements including updating plumbing, electric and mechanical systems, installation of new windows, and replacement of the roof in 2014. New ownership can implement a water reimbursement program for all tenants. The owner has also been paying for internet access for all tenants which incurs a yearly cost of over $3,500 and should be discontinued by year 2 of new ownership.Properties that have undergone similar upgrades are achieving rents at least $382 higher on average compared to the subject property, and with minimal deferred maintenance, a new owner will not be investing an excess of capital into upgrades.