This 328 Unit property located in the rapidly gentrifying Campbellton Road corridor was acquired at a relative bargain to comps. MARTA (Atlanta's public transport authority) is investing in either a Bus Rapid Transport (BRT) or Light Rail Transport (LRT) infrastructure along Campbellton Road that runs in front of the property. This investment of almost $300mm in the area bodes well for the execution of our business plan which involves rehabbing and repositioning the property to meet the needs of the workforce in the area. In addition, the continuing re-development of Fort McPherson just to the West of the property into a retail and entertainment hub as well as the recent opening of an $8mm community youth center at the YMCA adjacent to the property provides additional momentum for the area.
Legacy at Cypress (422 Units), Houston TX (LP&KP)
With this investment, we are excited to finally gain exposure to our dynamic home City of Houston. This Class A property in Cypress is in the A-rated Cypress-Fairbanks school district and close to several major retail chains and restaurants. Median home values in the area of ~$240K and median incomes of $74K support an upgrade of this '99 build asset and the associated increase in value. We are also excited to help KP this deal sponsored by Triarc Real Estate Partners.
Warner Robins Portfolio (265 Units), Warner Robins GA (GP)
The two properties in this portfolio, Northlake and Tanglewood are within a mile of each other in the town of Warner Robins, GA which is 90 miles SE of Atlanta and within the greater Macon MSA. Both properties are in classic interior with significant room for value creation. Warner Robins largest employer is the Warner Robins Air Force base but over the past several years, major manufacturers including Frito-Lay, Kumho Tires, and YKK Zippers have made significant investments in the area. As a result Warner Robins has experienced rent growth over the past 5 years that exceeds that of red-hot Atlanta!
Bradenton Reserve (166 Units), Bradenton FL (GP)
This property is located in in beautiful Florida suburb of Bradenton just south of Tampa. Growing demand within Bradenton is being fueled by record inbound migration and this, combined with a current housing shortage, has positioned the submarket for strong and continued growth. The property is located in a high-performing sub-market and backs up to the IMG sports academy golf course. IMG is the premium sports academy in the US and a world-renowned feeder school for the Olympics, and many top tier collegiate sports programs.
Oakwood (148 Units), Sarasota FL (GP)
This beautiful Class A property was acquired from an institutional owner at a cost well below appraisal and with significant opportunity for revenue optimization and value add opportunities to match other Class A product in the area. Sarasota, located just South of Tampa Bay has experienced an almost 25% population growth over the past 10 years and with forecast for similar growth over the next 10. It benefits from all of the economic activity of the Tampa MSA as well as a strong medical and retail sector in Sarasota.
Overland Crest (133 Units), Greensboro NC (GP)
Overland Crest was an off market purchase directly from the seller who had owned the property since construction. The property consists entirely of 2 bedroom, 1 bath townhouse style units which are perpetually in high demand. All interiors were in classic condition upon acquisition and rents at the property were significantly below comps. The property is located in a quiet, tree-lined street close to major freeways and close to Greensboro downtown.
Woods at Ridgeway (568 Units), Memphis TN(LP)
This is a deep value add property set on lush grounds in Southeast Memphis. The previous owners had mismanaged the property and there was significant opportunity for upside at the time of our investment. The sponsors have experience with this market and will be leveraging professional property management and contract services that they have used at their other Memphis properties to turn this complex around.
2 Property Portfolio (173 Units), Lubbock TX(LP)
After the sale of the 3-property portfolio in Lubbock (below), we rolled over the proceeds of the sale into this portfolio with the same sponsor.
Hedgewood Manor (148 Units), Cleveland OH (LP)
Hedgewood Manor was acquired at a very low cost basis and a rent to cost ratio of 2% per unit! Situated close to Cleveland Airport, it is well located to providing support for workforce housing in the area.
Magnolia Terrace (176 Units), Montgomery AL (LP) SOLD in Aug '22 with 1.6x returns after 32-month hold
Located close to the two major highways passing through Montgomery, this property is well located in a city that has had major investments from global manufacturing companies (Hyundai, Gerhardi) and has over 20000 students in its various colleges. Montgomery is well poised for further growth and is priced attractively compared to its state neighbors Birmingham and Huntsville.
Apartments at Fountain Corner (418 Units), Fort Worth TX(LP) SOLD in Jun' 22 with 2x returns after 30-month hold
A well located property on a major freeway in the burgeoning DFW Metroplex and located close to major employers made this an attractive investment proposition. That combined with an acquisition at a lower than market CAP rate and opportunity for value add compelled us to invest in this deal.
Millington Oaks (172 Units), Millington TN (GP) SOLD in Feb' 22 with 1.4x returns after 20-month hold
Millington Oaks has rents that are significantly below comparables when acquired and with investments in light rehab, should be able to match/exceed the rents in surrounding properties. FedEx and UPS distribution centers and a newly announced Amazon warehouse in the vicinity is expected to contribute to strong job growth in the area.
3 Property Portfolio (218 Units), Lubbock TX(LP) SOLD in Mar '22 with 2.1x returns after 2-year hold
Portfolio of properties that are located close to Texas Tech’s campus and to the ongoing medical center buildout in Lubbock. Properties acquired at low basis with significant value add opportunity.
