Millington Oaks Apartments

This is a 172-unit apartment with year of construction 1950.  This Property was acquired in July 2020. This property obviously in class C in a class C neighborhood. The property then was under poor management and had lots of deferred maintenance. The acquisition was very attractive at $38,000 per unit.  The business plan going into this property was to have interest only loan, refurbish 80% of the units by the end of 2^nd year and refinance and return 50% of investors capital. The business plan had unexpected hitches like supply chain issues and inflationary pressures, the rehabilitation cost was 2X initial projection. At the end of year 2 we got an unsolicited offer and we sold with 42% total return on investment. We figured 42% in 2 years was better than 100% in 5 years!