A new year is upon us, and with that we wanted to share our most recent multifamily acquisition.
As you may have seen the article in last week’s newsletter, our Ohio-based project, previously announced back in November, had closed last month but that wasn’t the only project we had in the pipeline.
Right before the holidays, we closed on Madison Overland Park, a 200-unit townhome community in Overland Park, Kansas for a total purchase price of $44,340,000.
What makes the Overland Park acquisition compelling right now?
- PPR assumed the low-rate loan that was already in place (three years remaining with 3.90% interest).
- The townhome community is located in one of the top school districts in the nation, just 25 minutes south of Kansas City.
- The business plan is to renovate the remaining 88 units and increase rents during the three-year hold, while maintaining its strong occupancy levels.
- Property unit rate pricing is below market and prime for a significant increase.
- Submarket base rent growth forecast at 4% annually during hold period.
- Scarcity of larger units in the submarket and a high barrier for home ownership will allow this property to achieve stabilization more quickly.
2023 was a success in this vertical for PPR and our valued investors, and I hope you’ll continue to count on us as your trusted partner in the alternative investing space.
If you’re interested in learning more and want to discuss investment options in our fund, please feel free to schedule a no-obligation consultation with us at https://pprcapitalmgmt.com/schedule/.
Our flagship fund is currently offering up to a 14.38% preferred return if you choose to compound, or 12.00% if you elect to receive monthly payments.
To your success in 2024!