— Strategic Capital Partners, LLC (SCP) and Crest Asset Management (CAM) recently sold two, multi-family properties totaling 636 units located in Dallas, TX.
The properties were acquired in September 2006 as one, 636-unit property that was suffering from low occupancy and deferred maintenance. Upon acquisition, the property was separated and rebranded into two unique multi-family complexes. The partners also renovated the leasing centers and amenities, streamlined pricing and marketing, and significantly decreased operating expenses. Overall, the investment returned approximately a 30% IRR and an equity multiple of 3.0x to the investors.
“This is a textbook value-add. We significantly increased the rental rates and occupancy. This sale is a great deal for the investors in SCP’s institutional fund and CAM,” said Robb Bollhoffer, Managing Director for SCP. “CAM once again exceeded all expectations and has been a terrific partner.”
Added Rajiv Naidu of CAM, “Our management team, with the support of SCP, was able to successfully transform the community and the neighborhood. SCP has been a terrific partner throughout the life of this investment and we are fortunate to have them as our partner.”
Formed in 2005, Strategic Capital Partners, LLC is a privately-held real estate investment management firm that employs a value-added investment strategy of acquiring commercial and multi-family properties across the United States. SCP, through its Strategic Partners Value Enhancement Fund, Strategic Capital Partners Real Estate Opportunity Fund I, and Strategic Partners UrbanGroup, has invested more than $1 billion in total capital. To date, SCP has closed 50 joint ventures with 39 different local operating partners.
The SCP team of veterans has more than 200 years and $20 billion of collective real estate investing experience, employing a hands-on, cycle-tested investment approach. The company is headquartered in Chicago with an office in Indianapolis. Learn more about SCP at www.strategiccapitalpartners.net. Crest Asset Management, Inc., was formed in 1986 as a full service real estate firm. Their expertise and comprehensive range of services extends to residential property management, rehabilitation management, resident services, property acquisition and disposition services.