When it comes time to redevelop an apartment building in an up-and-coming part of downtown it usually means the developer must move the old tenants out in order to execute the work. Beal Properties is turning that strategy on its head.
The Ypsilanti-based construction company is redeveloping the Washington Place Apts this spring and summer. However, it's doing it with minimal impact on the existing tenants.
"We are not kicking anyone out," says Stewart Beal, president of
Beal Properties. "We are making improvements as leases expire."
The 15,000-square-foot building at 210 N Washington has evolved since it was first built a century ago. It was originally built as an office building. Eventually it was added onto over the years, making it a 4-story apartment building. Its 16-units range from studios to four-and-five bedroom units.
Beal bought the building in 2009 and sold it Balmoral Holdings, a Colorado-based investor, last year. Beal still manages the building, however, and will replace the roof this spring, a job that requires 10 roofers working on three different roofs. Each unit is being upgraded with refinished hardwood floors and granite countertops as tenants move out over the next year or two. The idea is to keep the building's cashflow steady to ensure consistent returns for the investor.
"Balmoral Holdings was attracted to project because of Ypsilanti's historic downtown and proximity to Eastern Michigan University," Beal says.
Source: Stewart Beal, president of Beal Properties
Writer: Jon Zemke
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