Patterson Place Apartments

This 52-unit apartment complex is located in Huntsville, Alabama - a city that was ranked the #2 place to live in the March 2023 U.S. News & World Report.  With its national presence in technology innovation and aerospace, this market is one of the highest income markets in the Southeast and is constantly on the lists of fastest growing cities. 

Built in 1999, this affordable housing complex has a mix of spacious 2BR/2Bath and 3BR/2Bath units, along with a fully renovated clubhouse that provides ample meeting space for tenants to enjoy at their leisure.  Purchased in November of 2023 at a favorable cost basis of around $83K/door, we have been able to push average rents from $673 to north of $1,000 (>50% increase) and we still have the ability to increase another 10% to 20%.  The early value increase allowed us to cash out refinance at the 1-year mark - providing back >30% investor capital quickly, on top of replacing the ~10% bridge debt with an agency loan in the 5% range.