Fund 65 - Elevest Capital

projected returns

Preferred Return

8.0%

LP/GP Split

85/15

IRR

15.5%

Equity Multiple

2.01x

Avg. Cash Flow

4.0%

Annualized Returns

20.2%

Why we love this deal

Rise Valley Heights is 194 units, built in 1986. The property is a B+ class asset located in a B+ submarket of Phoenix, Arizona. It offers immense upside with the opportunity to renovate 100% of the classic units and add washers/dryers to 100% of the units for an additional $50 rental increase per unit with a purchase price at a 40% discount from what it would have sold for during peak pricing 36-48 months ago.

Sourced completely Off-Market from long-term Absentee Owner

40%+ discount from what it would have sold for 36-48 months ago

Significant upside to renovate 100% of units and add Washers/Dryers to 100% of units

Extremely low basis of $174K/unit, rare for 100% 2 bedrooms at 1,100 SF/unit

Highest capitalization rate of any deal we’ve purchased in over 3+ years

100% Bonus depreciation

Questions?

our track record


63	Acquisitions
11	Exits
$2.5B+	Acquisition Value
11,769	Units
NEVER	Lost an investor dollar

Purchase Price

$33,800,000

Number of Units

194 Vintage

1986

Rentable Square Feet

213,400

offering summary

Purchase Price

$33,800,000

Equity Raise

$17,137,846

Occupancy

87%

Cap Rate (T3/ PF Exp)

5.85%

Projected Exit Cap Rate

4.70%

Hold Period

2-5 Years

minimum investment

$100,000

financial summary

equity member class with preferred cash on cash return

8.0% preferred cash on cash return; 85/15 LP/GP split on sale

sources


Debt – Funded at closing	$23,660,000
Debt – Future funding (funded when we submit CapEx draws)	$4,585,587
Equity	$17,137,846

Total

$45,383,433

uses


Purchase Price	$33,800,000
CapEx	$4,585,587
Closing Costs (legal fees, interest rate cap, third party reports, etc.)	$1,956,071
Acquisition Fee	$1,690,000
Lender Origination Fees	$564,912
Prepaid Expenses (Insurance and Taxes)	$150,709
Prepaid Interest	$93,654
Reserves (Held at property's bank account)	$2,542,500

Total

$45,383,433