Cincinnati—Four Towers at Ferguson Apartments has changed hands for about $2.65 million. The 156-unit Cincinnati property was acquired by an unspecified but locally based property owner; the seller, the heirs of the original developer, were represented in the deal by the CBRE Cincinnati-Indianapolis Multi-Housing Group.
The West Side property dates from the late 1960s. It includes a mix of one- and two-bedroom units in 13 buildings (despite the name), and is heated by gas boilers, with every unit including central air. Rents currently range from $460 to $620 a month.
According to CBRE, the buyer, which owns other multifamily assets in greater Cincinnati, plans to spend money to upgrade the apartments, particularly the exteriors. Both demand and supply for apartment units in the metro area have been rising recently, though some markets have attracted more interest from residents than others.
The apartment vacancy rate in downtown Cincinnati, for instance, is 1.8 percent, according to Marcus & Millichap’s latest report on the market. Downtown is popular with young professionals and other renters by choice, and that’s driving rents up in that part of the metro area in particular—up 3.4 percent over the 12 months ending in June.
By contrast, apartment properties in other parts of town have to try a little harder to attract and keep residents. Western Cincinnati, in fact, has 6.4 percent vacancy rate, and thus experienced the lowest increase in rents in the last 12 months, according to Marcus & Millichap (though rents did increase): only 0.8 percent to an average of $601 for the submarket.