Villa36 - USC Student Housing Opportunity

Investment Drivers

  • Attractive unit mix of large units, mostly 2 bedroom / 1 bathroom configurations.
  • Significant upside opportunity available through repositioning and renovation of the asset to appeal to USC students.
  • Improving geographic location two and one-half blocks from the University of Southern California campus. Within 2 miles of Downtown Los Angeles and Koreatown employment centers. Three blocks to the Metro Exposition Line, providing access to Downtown L.A. and Santa Monica.

results

  • 216% increase in gross income.
  • 146% increase in property value.
  • Following tenant relocation, renovations were completed over a 45-day period, and the property was fully rented within 70 days from start of work. Improved rents from less than $450 per bed, per month average to over $1,050 per bed per month. Total gross income was increase by 216%.
  • Down-to-the-studs renovation that included modernization of major building components and replacement of all major systems, including all plumbing and electrical. Property further improved with addition of modern HVAC systems, new kitchen and bathroom cabinetry and fixtures, new windows and doors.
  • Refinanced in mid-2017 – tax-free return of 70% of initial investment capital to investors with no dilution of membership interests and on-going cash flow distributions on a quarterly basis.
Purchase Date Purchase Price Total Investment Current Value Current Equity Total Return
January 2016 $750,000 $500,000 $1,850,000 $880,000 97%

Results as of March 2018 - Past performance and statements regarding earnings are no guarantee of future results.