The Gradely

    Acquisition Price

    $11,525,000 on 04/2018

    Disposition Price

    $18,300,000 (03/2021)

    Total Return on Equity

    237%

    Equity IRR

    56.71%

Property Specs

This asset was selected for its strong rent potential, favorable location fundamentals, and clear path to value creation through repositioning.

184

Garden Style Units

650 sf

Average unit size

1875

Built in

Property Enhancements

Greenlite executed a comprehensive capital improvement program across the 129‑unit property, modernizing interiors and fully revitalizing the community’s exterior environment. With upgraded amenities, extensive xeriscape installation yielding significant city rebates, refreshed common areas, new signage, and the resolution of all deferred maintenance, the property was transformed into a highly competitive and efficient asset.

Additional Project Background

Underwriting the Opportunity

Greenlite identified a rent gap between the asset and comparable properties in the submarket, enabling acquisition at a low basis. By implementing a focused physical and operational repositioning strategy, the team captured significant upside and delivered strong returns.

Repositioning Timeline and Process

The asset underwent its reposition over a period of 19 months. Exterior/common areas were completed within 90 days of the takeover.

Repositioning Results

Interior renovations were initiated at lease expiration and completed within 21 calendar days. New leases achieved an average monthly premium of $225 NOI per unit.

Capital Improvement Over

    • Interior unit renovation across 129 units ($13,800/unit)
    • Full demo and reinstallation of xeriscape landscaping, resulting in over $69,000 in city rebates
    • Full renovation of the pool area, leasing office, clubhouse, and gym
    • Increased community amenities to include a fire pit, dog park, and BBQ area
    • New signage (2 monument signs. 1 building sign above office)
    • Resurface parking lot
    • New paint
    • Addressed all deferred maintenance

Return on Investment Overview

• Acquisition Price – $11,525,000 on 04/2018
• Disposition Price – $18,300,000 (03/2021)
• Total Return on Equity – 237%
• Equity IRR – 56.71%
• Equity Multiple – 3.37x
• 75% LTC (debt) + 15% LTC (preferred equity/mezzanine debt)

More On Our Investment Strategy

We take a defined strategic approach to each investment, focused on adding value in the right ways, in the right places at the right times.

Our Investment Strategy