Serrano Ranch

Average Cash: 6% annual rate

IRR: 15%+

Number Of Units: 195 State: Texas

Purchase Date: October 2015

Sold Date: Still Operating

Serrano Ranch is a strong C-Class property located on a busy arterial within minutes of Fort Worth’s Joint Reserve Air Base, formerly Carswell AFB. At purchase the 191 units were 90% occupied with 19 units completely down. In addition to the 19 down units nine units had been conjoined to make larger units that were clearly not maximizing rent collections. The value proposition for this property was to bring up the 19 down units and to turn the 5 of the larger units back into 10 smaller units, making a 195-unit property. Prior to purchase, the property had been undermanaged and undercapitalized. Upon takeover Broadview embarked on a $1,200,000 renovation and repositioning plan. Although the occupancy was at the low end of ideal for great agency financing, Broadview was able to leverage its strong banking relationships and move in immediately with attractive long term financing.