Location: Colorado Springs, CO
Asset Type: Class C multifamily – 105 units
Ownership period: 2013-2019
Return on Equity: 219.3%
Annualized return on Equity: 42.2%
Increase in value: 307%
Increase in NOI: 59.3%
PREP acquired Avalon in November 2013 for $3.3MM. We refinanced the property in April 2016, returning 93.6% of investors’ cash invested. Since purchase we increased NOI by 59.3%. We sold Avalon for $10.15MM, more than three times what we paid. The sale provided a net investor return of 219.3% – an annualized return of 42.4% and a net IRR of 33.3%. PREP offered a 1031 exchange property for investors.