Last Chance To Invest In 312-Unit Multifamily Offering With 22.4% Target IRR - Now Over 70% Funded

Real estate investment platform RealtyMogul opened the pledging window to prospective investors for a multifamily community in Dallas-Fort Worth. 

Rocco Apartments is a 312-unit, Class B multifamily community in the rapidly growing Texas neighborhood of North Arlington. The location, just south of Interstate 30, has easy access to major employment centers as well as nearby downtown Arlington and downtown Dallas. 

The investment offer is an opportunity to acquire equity shares in an operationally distressed property at the current owner’s loan-to-value. Mismanagement has led to the occupancy rate dropping to 70%, far below the market average for comparable properties. Rocco Apartments is being acquired for $112,000 per unit, well below replacement costs and recent trades in the area where the cost per unit ranges from $130,000 to $160,000. Because of the inherent benefits of the property, sponsor Sentinel Peak Capital Partners and investors will enjoy built-in upside. 

The business plan is predicated on making minor physical enhancements to the property and bringing occupancy to market levels through better management procedures. An expansive capital expenditure program is being avoided as the new owners project an attractive return without making significant improvements to the property. Sentinel Peak projects a 30-month holding period will be enough time to stabilize Rocco Apartments so it can be sold. 

• Minimum investment: $35,000
• Target internal rate of return (IRR): 22.4%
• Target equity multiple: 1.64x
• Target cash yield: 3.2%
• Target investment term: 30 months

Texas-based Sentinel Peak Capital Partners owns and manages over 6,500 housing units valued at more than $1 billion throughout the Lone Star State. Since the group’s founding in 1995, it has gained extensive experience and achieved a successful track record of assuming, managing and stabilizing highly distressed properties throughout the state. 

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