16 one bedroom/one bath units with ample parking. Easy walk to downtown Kailua-Kona. Views of Kailua Bay may be seen from many of the units. All units have closed lanais, adding to the total square footage. All units are separately metered for electric and are tenants responsibility. * Property located in a designated Opportunity Zone (Qualified Opportunity Property, QOP) see:https://www.irs.gov/newsroom/opportunity-zones-frequently-asked-questions * To qualify for the seven year (5%) step up in basis, taxpayers should reinvest deferred gain into a QOP before 12/31/19 * Expectation is to redevelop the existing property, in order to qualify for the Opportunity Zone tax incentives. This is not ground-up development. No formal development approvals required; only building permits * Redevelopment allows project to be substantially improved within the mandated 30-month period. * No Rent Control (45-day eviction process) *In place Cash Flow * Shortage of work force housing in Kona, central location and proximity to jobs * Market vacancy rate 2% * Replacement costs well over $300,000/door * Addition of in-suite washer/dryer, air conditioning and PV Solar, should increase market rent to $1,600 per unit * Unoccupied storage space - potential to generate additional income * Property to be put on Public Sewer system in next year with assumable bond at $5,450 per year. * Please consult with your trusted real estate agent or adviser, tax and other professionals. All information deemed reliable but not guaranteed.
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