1228 18th Street NE

Price
Listing Tags
Beds
16
Size
3228 sqft
Type
4+ Units
1228 18th Street NE

Overview

1228 18th Street NE is a four-unit building in Carver-Langston, in Northeast Washington, offered to a recovery housing operator on a single master lease at $6,500 per month. Each unit holds two bedrooms and a full bath, so the building carries 16 shared beds across eight bedrooms. The interiors are renovated and the vacant unit is furnished.

Lease and Income Structure

1228 18th Street NE is a two-story, four-unit building in Northeast Washington, offered to a recovery housing operator on one master lease at $6,500 per month.

Carver-Langston

Carver-Langston is a small residential pocket of Northeast, hemmed in by Benning Road, the rail yards and the Anacostia. It is brick rowhouses and pocket parks, not a commercial strip, which is usually what an operator wants: a quiet street with the city close by rather than a quiet street an hour from anything. The H Street NE corridor is about two-thirds of a mile west, and the DC Streetcar runs its length from Union Station out to Oklahoma Avenue. Gallaudet University is a little over a mile off. Metrobus covers Benning Road and Bladensburg Road.

The building

Four units, two to a floor, in roughly 3,200 square feet built in 1950 and renovated since. Each unit is two bedrooms and one full bath at about 750 square feet, which is where the 16-bed count comes from: eight bedrooms, two beds each. Hardwood floors throughout, white shaker kitchens with granite counters, stainless gas range, dishwasher and full-size refrigerator, tiled baths, recessed lighting, and a full-size washer and dryer inside each unit. The vacant unit is furnished.

One point of honesty about the photographs: they show the finished, vacant unit. The other three are tenanted and were not photographed.

Operating in the District

DC has no standalone sober living license. Recovery housing here sits under the general behavioral health, zoning and community residence rules, plus the Fair Housing Act. An operator delivering clinical services would fall under Department of Behavioral Health certification; a peer-run residence generally would not. There is no NARR affiliate in the District, so operators who want an accreditation standard work to the national standards directly.

Referrals in the District come from the Department of Behavioral Health, the hospital systems including MedStar and Howard University Hospital, Whitman-Walker Health, and the Court Services and Offender Supervision Agency, which supervises returning citizens across the city and places a steady number of them into housing.

The lease

All four units go together on one master lease at $6,500 a month. One unit is furnished and vacant now; the rest turn over as the current tenancies end. Ask us for the delivery schedule before you build a lease-up plan on it.

Diligence

The building is zoned RF-1. Occupancy limits, the certificate of occupancy, and any community residence review are the first things to settle, because in DC those set the bed count more than the floor plan does. After that: condition of the three tenanted units, and the timing on getting them back.

Property Financials
Bed Data
Shared Beds 16
Total Beds 16
Vacancy Rate (estimated) 20%
House Mentors 2
Revenue-Producing Beds 11.00
Weekly Rent $180.00
Intake Fee $200.00
Revenue (Annual)
Total Potential Rent Income $149,760.00
Less: Vacancy & Loss $29,952.00
Less: Mentor Rent Credit $18,720.00
Plus: Intake Fee Revenue $5,200.00
Plus: Laundry Service Revenue $2,704.00
Total Revenue $108,992.00
Expenses (Annual)
Operating Expenses $19,880.00
Property Taxes $8,164.00
Property Insurance $2,600.00
Operator Compensation $24,000.00
Total Expenses $54,644.00
Net Income
Net Operating Income $54,348.00
Valuation
Capitalization Rate 8.50%
Value on Cap Rate $639,388.00