Overview
We are pleased to present the exclusive listing of The Fargo 600, a Single Family Rental (SFR) portfolio in Fargo, ND. The portfolio is situated throughout the Fargo/West Fargo/Moorhead MSA. Fargo is the largest city in North Dakota and shares a border along the Red River with Moorhead, MN. The units are conveniently located and close to major employers like North Dakota State University and Sanford Health.
The portfolio has a rare unit mix of 3, 4 and 5 bedroom units with an average age of 7.2 years and below market rents. Simple operational improvements will achieve significant rent premiums for new leases.
The portfolio presents an exciting opportunity to invest in an asset class that is growing in popularity. The number of units will allow an investor to be immediately at scale with cash flowing units and substantial appreciation going forward.
Investment Highlights
RETAIL-GRADE, CLASS A SFR PORTFOLIO
Owned by the original developer, the Fargo 600 portfolio offers retail quality construction from 3 to 5 bedrooms with Class A finishes offering residents home living without the burden of home ownership.
STRONG UPSIDE WITH BELOW-MARKET RENTS
Arriving to market with strong historical occupancy and excellent lease trajectory, Fargo 600 has ample room for organic revenue growth. For example the Portfolio’s 3 bedroom units trail nearby Class A 3 bedroom multifamily rents by $110 on average. The average rent per square foot of $.99 is well below the Fargo market’s Class A and B multifamily averages of $1.35 psf.
PRIME LOCATIONS IN HIGH-GROWTH NEIGHBORHOODS
The Fargo, West Fargo and Moorhead MSA is experiencing fantastic growth with a current population of 266,262 and is projected to surpass 340,000 by 2045, a 35% growth rate. The population is youthful with the majority of residents in the 20-34 age range. Over the past 5 years the region has seen the creation of 9,000 new jobs, primarily in high growth industries such as technology and healthcare. West Fargo has 40,000 residents and has experienced an incredible 73% population growth in recent years.
OPTIONALITY FOR RETAIL EXIT
Home values in Fargo have averaged 43% growth over the past decade. As homes values across the nation soar, and new supply is continually strained, the next investor will see consistent asset appreciation.
HIGH GROWTH FARGO
The population of the Fargo-Moorhead Metropolitan Statistical Area (MSA), which includes Fargo, ND, West Fargo, ND, and Moorhead, MN, is approximately 262,620 as of 2023. This figure represents a steady increase from previous years, continuing the region’s trend of population growth. Over the past five years, the Fargo-Moorhead MSA has seen the creation of roughly 9,000 jobs, indicating a strong economic trend.
BOOMING SFR MARKET
Demand for SFR has increased over the last decade as renters increasingly prefer home like living without the burden of home ownership. A desire for more space and suburban living has spurred this demand and when coupled with heavy institutionalized investment SFR growth is expected to top multifamily, office and retail growth soon.
Portfolio Summary
Photo Gallery
CONTACTS
License #: ND Lic. #9646
(213) 446-5366jstein@jenniferstein-realestate.com