5201 Spradling Avenue, Fort Smith, AR 72904

Property Description

A 62-unit brick garden community on Fort Smith’s Northside. Built in 1991 across four two-story buildings on 1.80 acres, plus an adjacent parcel acquired by current ownership, the property offers a mix of 24 one-bedroom (600 SF) and 38 two-bedroom (820 SF) units with an on-site leasing office, on-site laundry, playground and resident storage. Current ownership acquired The Hendrix in June 2025 and executed the first phase of a value-add plan: new roofs on all three buildings ($104,500), replacement of rotted decks, a plumbing camera inspection and clean-out program on Building D, exterior painting and rehab, and cleaning and painting of the soffits and rafters — roughly $174,000 of roof, exterior and systems capital — plus eight units renovated to a full-scope specification (new kitchen and bath cabinets and countertops, flooring, tub surrounds, light and sink fixtures, full paint, appliances as needed), the acquisition of the adjacent parcel, and a grounds program that lifted the property’s Google rating from 3.7 to 4.0. Operations followed. August 2026 collections of $39,904 were the highest month under current ownership, and trailing-three-month income annualizes 15% above the first three months of the trailing twelve. The next owner steps into a proven playbook with the runway intact. Fifty-four classic units remain to be brought to the renovated specification, where two-bedroom units lease at $780 against $585–$765 on legacy leases, and water, sewer and trash are owner-paid with no utility bill-back in place — a RUBS opportunity worth approximately $32,000 per year. Stabilized pro forma NOI of approximately $307,000 represents a 7.9% cap rate at the list price.