Property ID : Read211
Sale Pending $179,000.00 - Apartment Building, Commercial, Mixed Use, Townhouse
Architectural plans in place and tax credit approved to totally renovate this vacant building in the heart of Historic Mount Vernon in a way that earns a 20% rehab tax credit and takes advantage of a $10,000 “Main Streets” façade improvement grant.
This quaint street is home to Robert’s Lock and Key Service, Mount Vernon Tobacco and Cigar Shop, Neal’s Hair Salon, Beatnik Barber Shop, and Michelangelo’s Pizza. The vision for the first floor of 211 West Read Street is to renovate this space for an artist, café, boutique, or hair salon. This first floor space is planned as a 530 sq. ft. retail store. The vision for the upper floor is to create a two-story, two-bedroom, two-bathroom 1,260 sq. ft. apartment.
This project is small enough to be handled by ordinary investors and easily financed. The end result would be a totally renovated 2-unit property in the heart of ever-popular Mount Vernon. If the construction costs are $200,000; the federal income tax credit would be $40,000. This credit applies directly to the developer and his partners’ federal income tax liability and may be carried forward if not used in the year that the project is completed.
I have worked with buyers in the past two years who were able to obtain FHA-203k financing on rehab projects of this size that involved a mix of commercial and residential uses, so this may be a financing mechanism that would work for you, too.