York, PA – February 5, 2025 – Landmark Commercial Realty is pleased to announce the successful settlement of Courthouse Commons, an 18-unit mixed-use complex located in Downtown York. Mike Rohm, MAI, CCIM, and Kevin Agnew, both of Landmark, represented the seller and procured the buyer. Mike and Kevin ensured the property received maximum exposure through a comprehensive marketing campaign. This campaign resulted in over 70,000 unique views across various commercial platforms, including nearly 3,000 views from their property list of regional investors.
The property sold for $3,700,000, achieving a record-breaking price of $205,000 per unit. According to a market survey, this is the highest sale price per unit for an apartment complex in Downtown York. The average sale price for homes in Downtown York over the past 12 months was approximately $169,033, highlighting the significant premium achieved in this transaction.
Mike Rohm, CCIM, MAI, commented on the transaction, stating, “The transaction highlights sustained investor demand for Class A product at premium prices despite the elevated interest rate environment. Discount to replacement cost and supply constraints in urban areas have contributed to compressed capitalization rates as investors anticipate continued rent growth for existing inventory.” He further added, “The transaction also underscores the demand for new construction, as rising utility, insurance, and maintenance costs outpace rent growth in many of the B and C properties we serve. The price we were able to achieve signals increasing market sentiment and economic growth in Downtown York.”
The success of this transaction can be attributed to several key factors. Accurate pricing strategies ensured that the property was listed at an aggressive price which focused more on the value proposition of new construction than historical benchmarks in Downtown York. This strategy maximized the seller’s return while capitalizing on issues relevant to current buyers such as below average operating costs and above average anticipated rent growth. By providing consultation to the buyer and lender throughout the process, transparency was ensured, and the risk of valuation-related issues was minimized. This approach led to a smoother and more efficient sale process, ultimately resulting in a successful transaction.
The sale of Courthouse Commons also has a positive impact on the community. The property, which features modern amenities and a prime location, helps to address the housing needs in Downtown York. With its proximity to local attractions such as the Appell Center for the Performing Arts and Central Market, Courthouse Commons enhances the vibrancy and appeal of the downtown area. The successful transaction not only sets a new price benchmark but also contributes to the ongoing revitalization and growth of the community.