Pin Oaks Acre
Millington Oaks Apartments
February 21, 2020
- Location: Leavenworth, KS
- Units: 152
- Year Built: 1970
- Acquired: : March 2020
- Projected Hold Period: 5 years
- Role: General Partner
- Average Cash on Cash Return: 10%
- Total Return: 113% in 5 years
- Note: ** Sold with over 200% total return in 2 years.
Description
This is a 152-unit apartment, with year of construction 1970. It was acquired in March 2020. This Property was owed by a church group and was not well managed. It had an attractive price point because it had lots of deferred maintenance. The acquisition cost was $46,000 per unit. Our business plan was to renovate and refurbish 80% of the units, put professional management in place and exit in five years with 100% return on investment. There were several headwinds including Covid-19 pandemic and the lockdown. However, the management executed the business plan despite these challenges. After two years of operating the property, we achieved over 200% total return on the investment! Such extremely high returns are not typical but are possible.