Portfolio of properties for Sale - East
Marcus & Millichap is pleased to offer the lenders rights to the foreclosure judgment of Shaker Square 308, a 308-unit portfolio of architecturally significant buildings all located within the historic Shaker Square neighborhood which straddles Shaker Heights and Cleveland, OH (the “Property” and the “Offering”). The lender will be foreclosing on the 15-asset portfolio in January/February 2026 and is offering the rights to their foreclosure via assignment. There is currently a court appointed Receiver presenting investors an excellent opportunity to acquire an irreplaceable asset that offers substantial value creation opportunity through property-wide updates. The winning bidder will acquire fee simple title to the real estate upon closing.
This portfolio was assembled and tastefully renovated between 2004 and 2018 before being sold to an ill-equipped purchaser who has since passed away.
Comprised of 14 buildings all within 2 blocks of each other, Shaker Square 308 offers an investor an opportunity to dominate one of the closest residential neighborhoods to Cleveland’s main economic growth driver, University Circle. Boasting one of the nations largest concentrations of medical jobs between the world-renowned Cleveland Clinic’s main campus, University Hospitals main campus, and one of the largest VA medical centers in the country, the only rental options that are closer than Shaker Square are luxury, new construction assets that rent between $2.50/sf and $3.15/sf. With its over-sized suites, the market rents for this portfolio after completing the moderate renovations started by a previous owner are only in the $1.25/sf range, offering an enormous discount for medical workers, graduate students, and other workers in the community to live only 5-10 minutes from Northeast Ohio’s employment juggernaut.
The receiver spent several hundred thousand dollars on a commercial cleaning company to trash out all of the vacant units (many of which are still in good condition, others have water damage from roof leaks), leaving them in dry condition ready to be made rent-ready once again. The buildings have been secured and winterized. Some of the roofs and boilers are still in operating condition, others are in need of replacement but have been tarped to prevent further damage.
Other similar buildings adjacent these were sold in 2022 for over $60,000/unit, and are achieving rents in the $1.30/sf - $1.50/sf range. A buyer can obtain these assets at a very attractive basis, renovate the units that need serious work and clean up the ones that were previously renovated, make necessary capital investments in roofs and HVAC, and bring this property back to its previous glory where it appraised for $32,350,000 or $105,032/unit just 5 years ago before the most recent owner mismanaged the Property.
