Claxton and Pecan Ridge are two Class B-/C+ multifamily townhome-style properties a half-mile apart in Lauren’s County, Georgia. The properties are townhome-style, with great structural integrity – an excellent blank canvas for a value-add transformation strategy to upgrade them to B+ assets with the right potential to meet the aggressive demand in the area. This aggressive demand was proven by the area properties’ 100% occupation rates, with a 2-3 month waiting list at the time of purchase – thanks in part to the thriving local economy.
This 202-unit townhome complex suffered from mismanagement and underinvestment, creating a compelling value-add opportunity. Post-acquisition, we implemented a complete operational overhaul, including new staff and optimized management practices. Our significant investments in unit upgrades and family-oriented amenities have resonated strongly with the market, allowing us to exceed pro forma rents and accelerate our Loss to Lease (LTL) reduction strategy.
Key Achievements: Realizing $297 average monthly premiums on renovated units, yielding a 32% return on cost.
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