3.02x Return In 5 Years

Our Boston Woods investment was located a short 10 min drive from the Medical Center in San Antonio, TX at Intersection 110 and Loop 410. We were able to find this deal using an off-market strategy, reaching out to the sellers directly. Using an off-market strategy in procuring a deal can help make it a more advantageous investment. It is comprised of 174 originally split into 3 locations: FKA Cumberland, Villa Madrid, and Westchester. Constructed originally in 1970, 1974, and 1984 respectively. We combined the three properties into one – Boston Woods.

Purchasing deals at the market cap rate can be a great investment as long as there is a value-add component, which in this case there clearly was. Our decision to merge the three properties into one not only streamlined this property- but was a huge marketing advantage as well.

Acquisition

• Purchased in November 2016 for $6.9 million, 6.51% cap rate
• Cash out of pocket: $3.76 million
• Initial Financing: $4.66 million at 4.61%
• Capital Repairs: $1.52 million

Purchasing deals at the market cap rate can be a great investment as long as there is a value-add component, which in this case there clearly was. Our decision to merge the three properties into one not only streamlined this property- but was a huge marketing advantage as well.

How Did we find the Deal?

Off Market Strategy

1. Using text blast campaign to Sellers.
2. Negotiated with Sellers for almost 8 months.
3. Sellers are partners with bad relationships.
4. Sellers are sophisticated Land developers/brokers

Learn to Find Deals using Off-Market Strategy

Previous Management Marketing Issue

Top three Largest PM companies in San Antonio

• Right Strategy managing Three Properties as One
• Horrible marketing with phone greeting with 3 different names.

We increased rental income from?$.75/sq. foot to $.92/sq. foot.?We utilized multiple crews for the rehab, implementing a partial rehab plus full rehab strategy to slow resident turnover and keep tenant occupancy up throughout the process.

We spent?$1.3 million?within 12 months of acquiring this property with a total budget of $1.5 million. It’s important to pump capital into the property ASAP to increase valuation. By doing this we were able to quickly convert $1.3 million cash in the bank to $75k NOI – a 50% increase.

At the end of this project:

• We increased rent by?$130 per door
• Reduced expenses from?67% to 48%
• NOI increase of 86%- with a value increase from?$6.9 mil to $13 mil
• Cash flow increased?7/8% based on the initial investment
• Altogether an INCREDIBLE?117% return from Initial Investment!

Boston Woods is a prime example of Achieve’s focused strategy, skillful execution, and top-tier returns. Key takeaways from this investment include strategies of off-market acquisition, choosing a property with a value-add component, choosing to name the property with a marketing advantage, using a near-to far rent comp, having multiple crews for the rehab- utilizing a partial plus full rehab to keep occupation and rent up during the process.

Exterior Painting Work – Completed

Before And After

Watch Video

Playground - Before And After

Interiors - Before And After

Office - Before And After

Laundry Room - Before And After

Building Lights -?Before And After

Shanti’s Free Little Library Initiative

Mission: To teach or encourage at least?1 child to read?

..And We Continue To Create More Millionaire, Passive Investors...

Boston Woods Apartment?Generated An?Equity Multiple of 3.02x return in 5 years for our Passive Investors. Our?"Deep Value Add" Graduation project. 60% per annum cash on cash.?This was our second multifamily deal.?Took almost 8 months to close, found through direct marketing to sellers. Refinance and returned 100% of investor capital in 12 months. Some investors cried when we gave them the refinance proceeds. It's really like making money out of thin air...?Created 6M in value by using?1.5M?in rehab cost within?12 months.?Amazing.

Shanti Ramasamy did her magic in repositioning the entire deal!

My magic was in finding off-market deals!

Congratulations

to our investors!

Achieve Investment Group is a leading expert in multi-family investment in the hottest markets in Austin today. We encourage you to connect with us for more information. We are passionate about educating our investors!?Join our investor list?to get access to our current and upcoming investment opportunities.

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