With limited resources, EpiCity increased occupancy and made improvements to the poorly maintained building, leading to a higher sale price for the national bank that owned it.
In June of 2009, EpiCity began working with a national bank chain with headquarters in California. After foreclosing on a 17 unit building in Atlanta, the bank needed assistance maintaining the property until it could be sold. Though architecturally beautiful, with just 8 units occupied and a laundry list of serious issues, the facility was nothing short of a mess.
At the time EpiCity got involved, the property was valued at approximately $600,000, significantly less than the amount of debt that had been foreclosed.
Since officials at the bank were adamant that no new money would be invested into repair of the building, EpiCity knew the project would be challenging. The EpiCity core philosophy is always to achieve the highest value and best use for each property. Though limited in resources, the EpiCity team was determined to get the property back into a decent condition.
Having been vandalized, the building was missing all of its copper wire and had a variety of electrical code issues. EpiCity began making small improvements, taking the minimal rent payments and reinvesting them into the property. With these small steps, big changes were happening.
Tom Stokes, EpiCity’s Director of Property Management and Commercial Leasing, says, “This is just what we do. We can’t do it any other way. Even if the bank isn’t willing to invest in the property, we’ll still do everything we can.”
Because of EpiCity’s tireless effort and outside-the-box tactics, nine months later the property was 100 percent full, providing $4800 per month in rents. The bank then sold it for $780,000, a significantly higher price tag than what would have been achieved in its earlier condition. EpiCity had no ownership stake in this property, however, the core philosophy never waivered. The team did everything in its power to achieve the highest value for the asset. Ultimately, the bank recovered a larger percentage of their original investment thanks to its partnership with EpiCity.
Property Address: 711 Piedmont Avenue Northeast, Atlanta, GA 30308
- CoStar Submarket: Midtown/Pershing Point
- Units: 21