- Highly Coveted Market Rate Conversion Play | Revenue Potential Unlocked
- Potential Other Income Generators
- Immediate Highway Access and Visibility to I-70 at Paradise Plaza
- Prime Location Near Downtown Topeka
- Supply Constrained Market – Very Few Deliveries
- Central Location | Exceedingly Strong
- Local Demand Drivers
Highly Coveted Market Rate Conversion Play | Revenue Potential Unlocked
Paradise Plaza and Glen Oaks were both previously in the Section 42 Low Income House Tax Credit (“LIHTC”) program. The initial 15-year Tax Credit Compliance Periods (“TCCP”) have ended. Ownership exercised the Qualified Contract option provided in the Land Use Restriction Agreement (LURA) to remove the long-term LIHTC restrictions, unlocking significant revenue potential. Paradise Plaza and Glen Oaks are currently in their first year of the three-year market conversion/decontrol period, allowing for significant upside for a new owner. Over the normal course of business, and as affordable units turn over, a new owner can renovate and rent these units at current market rates (with NO rent or income restrictions!).
Potential Other Income Generators
Previous LIHTC restrictions limit the amount of fees and other revenue that can be generated to affordable residents. Now that ownership has removed the properties from the LIHTC program, a new investor can further penetrate other income charges (parking charges, RUBs / Utility Billback, recurring pet fees, trash fees, pest fees, etc.), further unlocking the potential value of this well-located, value-add portfolio.
Immediate Highway Access and Visibility to I-70 at Paradise Plaza
Paradise Plaza offers immediate highway access and is visible from I-70. This offers tenants immediate access to Downtown Topeka and the interstate system. Further, the visibility from the highway allows for unrivalled signage opportunities that could be used to create further marketing exposure to a broad tenant base.