ADDRESS | PURCHASE DATE | SALE DATE | AVG. RENT AT PURCHASE |
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AVG. RENT AT SALE | RENT INCREASE | NOI | IRR REALIZED |
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Past performance and statements regarding earnings are no guarantee of future results.
At a glance
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Why we invested
“Wildwood” was Whitestone Capital’s first endeavor. We saw an immense potential for rent increases the previous owners neglected.
Wildwood way was the perfect ground for our company to proof our concept to ourselves and our first investors.
Opportunities and challenges
- The premises were in a rather good condition that did not require substantial renovation. In fact, we were surprised the property was for sale – its potential seemed almost too obvious.
- When interviewing the tenants we sensed tensions with some of the residents which was troubling and needed attention. Our managers had to mediate some conflicts, showing and challenging our social skills.
- Some of the apartments had not been renovated in a long time, giving us the chance to offer renovation against an increased rent.
- We found several obvious improvements which would lift the overall appearance of the housing estate.
Results
We immediately took care of the tenant management. We held meetings with tenants as well as in groups as face to face. Our professional yet friendly appearance helped to restore an agreeable atmosphere for everybody.
This did not keep us from evicting a small number of tenants who were notoriously disturbing the peace.
Whenever lessees did not continue their contract with us, we took the opportunity to renovate the respective apartment, setting a new standard for Wildwood Way.
We also reconstructed the entire roofing, installed an attractive outdoor lighting as well as a video surveillance system for everyone’s safety and peace of mind.
Within about 40 months, we were able to hand over a well run apartment complex to a grateful buyer, paying a markup of 26%, proving the “Whitestone way” is a success and giving us the first entry in our track record.