434 436 WYOMING AVE Scranton PA 18503

Marcus and Millichap is pleased to present for sale the Finch Towers Apartment Building, located at 434 Wyoming Avenue, Scranton, PA., just north of US 11 and PA 307 in the Downtown Scranton Multi-family Submarket. This 48 unit 5 story Mid-Rise Class B Apartment Building is categorized as; Subsidized HUD Low-Income - Section 8 Affordable Senior Housing Units. Finch Towers has significant historical prominence, and is registered on the 'National Register of Historical Places - Pennsylvania, Lackawanna County.

The subject property is a renaissance revival style stone building designed by William Scott-Collins; construction started in 1896 and was completed in 1899. The first occupant was the International Correspondence School in the early 1900's; in 1976 it was added to the National Historic Registry; in 1983 the property was renovated and converted into an apartment building. The property has had significant repairs and improvement projects completed over the past six years. (See Pages 9 - 10)

The subject property has 30 surface parking spaces, sites on .65 acres of land, and has a typical floor plate of 9,747 square feet - totaling 48,735 square feet. This asset is ideal for a non-profit, or apartment investor looking for a stabilized 'affordable housing' apartment building. The property is walking distance to many local amenities with a 90 point walkability score.

*Ownership also recently updated the Elevator Systems*

* * *Grant Funding is available for qualified, bone-fide non-profits seeking to acquire this property. We can provide a direct contact to apply for a grant. Funds are available up to $750,000.* * *

Assumable Mortgage Info: The two Mark-2-Market HUD mortgages are assumable:

HUD mortgage #35174V totals $766,609,

HUD mortgage #35174W totals $1,089,613

HUD would generally consider forgiveness on indebtedness for qualified non-profits. Accrued and unpaid interest to date:

#35174V = $152,136

#35174W = $137,479

The assumption of the HUD debt would be an offset against the purchase price. The sale in not contingent on assuming the debt. The property can be purchased free and clear.

Section 42 of the IRS Code (Low Income Housing Tax Credits) are available on a competitive basis for rehabilitation of the property. The applications for that funding are available through PA Housing Finance Agency. Pre-application due July 13, 2018. Application due end of September, 2018. Generally, properties that have a stable rental scenario accompanied by project-based Section 8 HAP contracts are looked at favorably during the application process.

Property Overview:

The Finch Building is located on Wyoming Avenue, just north of US 11 and PA 307, in downtown Scranton, Pennsylvania, United States. It is a stone building designed by William Scott-Collins in the Renaissance revival style and completed in 1899.

It takes its name from the Finch Manufacturing Company, a maker of finished steel products such as manhole covers that had been based in the city for much of the later 19th century. Its first occupant was the International Correspondence School, a business that offered study-by-mail classes to the many coal miners in the Northeastern Pennsylvania region. The school, founded in 1894, had quickly outgrown its offices at the nearby Coal Exchange Building and needed the space. Later it was used as offices for the Hudson Coal Company. In 1976 it was added to the National Register of Historic Places. Today it has been remodeled into an apartment building called Finch Towers.

Finch Towers is a HUD Apartment. HUD residents usually pay 30% of their gross income for rent. The rent amount, less approved HUD deductions such as medical and child care expenses, and other allowances, includes a utility allowance. HUD Residents also may choose to pay what is known as flat rent. The HACC works with applicants to determine which rent arrangement is best for them. Finch Towers is a Senior Low-Income Housing Apartment Building subsidized by the federal governments HUD (Housing and Urban Development Division).

Established as apartments in 1982

• 48 Unit Mid-Rise Apartment Building in Downtown Scranton, PA.

• Low Income - HUD Section 8 Affordable Housing.

• Upside in Increasing Rents.

• *Grants Available - Up to $750,000 for Qualified Non-Profits*

• Significant Repairs and Improvements Completed Over Past Six(6) Years