April 14, 2021
915 North 48th Street is a great example of Sage Capitals’ win-win strategy. This property was a classic case of a poorly managed asset. The occupancy was below 60 percent, curb appeal was non-existent and rent delinquency was rampant. Our research told us that this property was under rented, and that the asset was solid at its core. We felt that with a more aggressive leasing and management team in place we would achieve an overall better financial yield. After tackling the most glaring issues of high vacancy, pest issues, and poor rental payment, we moved on to tackling the large areas such as exterior paint, landscaping, interior hallways, as well as adding a few inexpensive on-site amenities. With 12 months of stabilized occupancy and income, we started our phase-out process. We had owned the building for less than 18 months at this point in time. Less than three months after we decided to sell, we closed on this property and reached an 81% gain for our company. While this is not a typical life cycle or return, it is one example of how Sage Capital was able to access the market, the potential the property had, and the ability to unlock this potential upon the sale.
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