Case Study

Asset Class Reposition To Increase Property Value

Opportunity: 248-unit property located directly on the Halifax River in Daytona Beach, FL; one of the state’s most active housing markets due to the cities affordability and new development.

Acquired: Aug. 2016

Cash on Cash:

9%

Internal Rate of Return:

22%

Equity Multiple:

2.3X

Total Capitalization:

15M

Challenge

Severely distressed due to Hurricane Mathew, high delinquency rates, and weak property management

.

Strategy

Completed capital improvements, introduced new management and leasing procedures, and a stronger focus on retention and prospect quality allowed for a more stable tenant base.

Outcome

  • Occupancy at 95%
  • Rent appreciation by $100/door
  • Class reposition from C to B
  • Improved tenant reviews due to new management

Testimonial

“We saw the potential and know the market. Daytona Beach is experiencing serious gentrification and continuously reports population growth of which surpasses many other cities across the country.”

Michael Davalos, SVP of Business Development

MICHAEL DAVALOS

SVP of Business Development

CONTACT US

(786) 295-9568
BIZDEV@TZ-M.COM
11098 Biscayne Blvd, Miami, FL 33161